I thought I was doing pretty good at researching coins before I bought them. But in the end, was I just a FOMO Buyer all along?
I follow a lot of smart people on Twitter. But so do thousands of other people. So when those smart people tweet about a coin, I don't just rush off to buy it (anymore). I check into it a little bit. See what the coin is attempting to do that no one else is doing. See if it has a solid team. Those sorts of things. Then I go and place my buy order.
And then the coin promptly drops 27%.
Right now I am holding 30 different coins in my portfolio. That is probably more than I should hold, but I have already gotten rid of some things at a loss to bring the number of coins down. Projects I didn't know enough, or care enough about to hold on for profits. Maybe I am a little OCD, but I wanted to clean up my ledger a bit. So I probably dropped a couple hundred dollars getting coins off my sheet.
But I am still holding 17 out of 30 coins in the red since my entry.
Yeah, I know the entire market is down right now, and 13-30 in the green might not be so bad at this very moment. But these coins have never been green for me. Some of them I have been holding for 3 months. I have coins that I bought in December that I am holding at a loss. And it was tough to lose money in December.
Don't get me wrong, I believe in the projects or the teams involved in the coins I am holding, so I think I will be okay in the end. But if I had waited for a better entry, I might already be sitting in green. I may have let the Fear of Missing Out influence my entry point in a way that will cost me profits in the long term.
You haven't lost money till you sell, and I am a HODLer not a day trader, so hopefully once we get in to a good Alt Season I'm in for a nice ride. Just could have been nicer if I had picked my entry points better and resisted the FOMO. This is a lesson I hope to take with me as I move forward on my crypto journey so that I can learn to read the charts better and pick better entry points rather than rushing to buy at whatever price the coin is at when I decide that I want in.
Don't FOMO
Buy the Dips